CH Energy reports profit up by $4.1M

By Jessica Dinapoli

Times Herald-Record

May 10, 2013 - 2:00 AM

POUGHKEEPSIE — CH Energy Group, the parent company of Central Hudson Gas & Electric Corp., reported a profit of $18.9 million for the quarter ended March 31, up $4.1 million from the same time period last year.

Profit for Central Hudson, the company that delivers natural gas and electricity in much of the mid-Hudson, fell $2.4 million to $14.4 million.

The company is 16 months into its courtship by Canadian utility Fortis, which is seeking to buy CH Energy Group for $1.5 billion, including assumption of $500 billion in debt.

Two administrative law judges last week wrote that the detriments of the proposed deal outweigh its benefits, casting doubt on the deal's viability.

At Fortis' annual shareholder meeting, held Thursday in Newfoundland, the company characterized the judges' recommended decision as "disappointing." The decision suggests Fortis should provide more public benefits, according to meeting materials. CH Energy Group CEO Steven Lant and James Laurito, the president of Central Hudson, attended the meeting.

A citizens group has requested the New York State Public Service Commission, which still must approve the deal, hold an evidentiary hearing on it. PSC staff and CH Energy Group argued this week against holding a hearing in official documents filed with the PSC. An evidentiary hearing would allow for sworn testimony and cross examination, according to a motion made by Citizens for Local Power and the Consortium in Opposition to the Acquisition.